ECG, GWL blame galamsey for 200% tariff proposal

The Ghana Water Limited (GWL) and the Electricity Company of Ghana (ECG) have blamed galamsey for the more than 200 percent increase proposed in utility tariffs under the 2025–2030 Multi-Year Tariff Order.

The two utility providers say widespread environmental destruction caused by galamsey has polluted water sources, damaged power infrastructure, and driven up their operational costs, forcing them to seek higher tariffs to remain sustainable.

According to GWL, the pollution of major water bodies by illegal mining has drastically raised the cost of water treatment, placing enormous pressure on the company’s finances.

The ECG also reported that illegal mining operations within forest reserves have damaged parts of its power distribution network, leading to frequent power outages and escalating maintenance costs.

ECG’s Director of Communications, William Boateng, revealed during a public hearing on the proposed tariff adjustments in the Ashanti Region that illegal miners are digging dangerously close to electricity poles and trenches.

“They are moving toward the roads and trenches, which is very dangerous. Anytime it rains, poles collapse because their bases have been weakened. That undermines the stability of power supply,” he explained.

Mr. Boateng added that such damage often causes chain collapses along power lines, bringing down multiple poles at once, an extremely costly situation to fix.

“It costs us significantly more to replace the fallen poles and restore power. Beyond that, we lose unserved energy, electricity we’ve already purchased but can’t deliver to customers,” he said.

Both GWL and ECG stressed that tackling the environmental destruction caused by galamsey is vital to keeping water and electricity supply affordable and reliable for Ghanaians.